Pop up tempts the landlord at your local mall
Pop up retail is catching the attention of consumers – and the shopping centre managers are taking notice !
…it’s still mid-summer (for us at popUPshops Melbourne…) – so we’re still re-posting our favourite / relevant / popular posts. This “landlords” article 1st appeared at pUsM in February 2017.
Finally, the quirky “phenomena” of pop up shops is being taken more seriously by the big league landlords… shopping centre managers are starting to look closely at the potential of pop up. For quite some time (the first 10 years ?), pop up shops were viewed by ‘centre managers (and their leasing agents) only as a stop-gap measure to fill vacant spaces, whilst looking for long-term tenants. There wasn’t much support offered to those pesky short-term tenants – especially if they were humble start up or small time businesses.
But over the past couple of years some of the major retail landlords (Westfields globally, Cadillac Fairview and Oxford Properties Group in Canada… and others) have started to consider the wider benefits and strategies of hosting pop up retailers – especially the impact they might have on visitor experiences and the potential for permanent tenancies.
A recent article on CTV News.ca discussed the new interest in pop-up mall shopping across Canada. Oxford Properties Group has 11 shopping centres across several provinces… and “hosts five to 10 (pop up) shops in each of its malls annually… these shops help boost traffic because they provide shoppers with something new on every visit” said senior-vice-president of retail, Brad Jones.* And Cadillac Fairview should also know a bit about retail leasing.. they list 20 malls. Vice president of national leasing Stephen Yau, said the “goal (of pop up) is to transform these tenants into long-term ones…”*
Becky Reuber – professor of strategic management at the University of Toronto’s Rotman School of Management – said that shopping malls “benefit from these stores’ presence by being able to experiment with their tenant mix… Pop ups can help malls determine whether a store is well-received by shoppers before committing to a longer lease”*
One of the opportunities for pop up retailers is that they “can expose their products to new customers, who may not find them otherwise”. Pop up shops allow online retailers without any brick-and-mortar stores to put their products in front of consumers (“once they’ve seen and touched and felt it, they have the confidence to buy online” said a local doll-maker / pop-up retailer) Reuber also said that “if a company’s target customers shop at malls, pop-ups can offer a lower-cost alternative to reaching them than a longer commitment”*
images : Maplelea Girls doll pop-up and CTV News logo, Canada
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